Paraag Marathe has shared what Red Bulls’ minority investment in Leeds United will mean going forward.
The Whites made the shock announcement yesterday morning that the global energy drinks brand have agreed to invest in the club, which will see them take the front of shirt sponsor.
Phil Hay has already confirmed Red Bull will not be taking a seat in the boardroom, which also means they will have no power to change the badge, name or stadium.
Having missed out on promotion to the Premier League, a difficult summer could be on the cards at Elland Road with 49ers Enterprises acknowledging key players will need to be sold.
However, Marathe has already insisted funds will be available for Daniel Farke to spend with the aim of going one better next season and returning to the Premier League.
- READ MORE: Phil Hay says Leeds United have a youngster coming through Daniel Farke has to play more next season
Marathe shares what Red Bull investment means for Leeds in transfer market
LeedsUnited.News spoke to Football Finance expert Adam Williams yesterday after news of Red Bull’s investment in Leeds came to light.
Williams stated that given it is ‘capital investment’, it will give them extra leeway in terms of complying with the EFL’s PSR rules, which only become tighter in the second season after relegation, due to a reduction in parachute payments.
And now in an interview with the Athletic, Leeds chairman Marathe has also been asked about why 49ers felt the need to bring Red Bull on board.
Marathe was bullish in his response, by confirming their investment will bring Leeds more ‘global revenue’, and so as such, more money will be available to both buy and keep players.
He said: “They could have pursued an investment in any club in English football, and they chose Leeds United. They chose to do a minority partnership — which will continue to be a minority partnership — because they recognised the global potential of Leeds and what this club could be.
“They believe in our management of the squad and hopefully, specifically, my chairmanship of this club.
That’s not going to change; not today, not tomorrow. This is a minority partnership. The connection with a global sporting organisation like Red Bull is going to raise the profile and elevate the stature of Leeds.
“We all say this is a massive club, and it isn’t just a story. My sole focus is to make more money and pour every pound we make into (the team on) the pitch. My sole focus is making our team as competitive as possible.
“It’s why I’ve said I hope we have a PSR (profitability and sustainability rules) issue every single year, because everything we do is going to be about maximising our ability to be as competitive as we can be.
“The partnership with Red Bull leads to more profile, to global revenue, to more money to buy players and keep players. That’s all I care about — keeping the squad as competitive as I can.”
- READ MORE: Mateo Joseph has just sent message to Leeds United fans after breakout season at Elland Road
Why Leeds fans should be confident ahead of next season
Though still will be coming to terms with the disappointment of losing in the play-off final on Sunday, it would be fair to say it has been a positive few days at Elland Road.
Marathe came out immediately and spoke to the local press about Leeds’ plans for the summer and next season, and was very confident they would once again be able to put together a promotion push.
This investment from Red Bull also shows that despite being in the Championship, 49ers have Leeds in such a good place off the pitch, global brands want to invest in the club.
With the division, on paper, looking weaker next season, Leeds just need to get this transfer window right and it looks like the funds will be there to do so.
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